This article first appeared on GuruFocus.
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Total Revenue: $38.8 million for the third quarter.
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Tool Rental Revenue: $31.9 million for the third quarter.
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Product Sales Revenue: $7 million for the third quarter.
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Net Loss: $903,000 or a loss of $0.03 per share for the third quarter.
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Adjusted Net Income: $751,000 or adjusted diluted EPS of $0.02 per share for the third quarter.
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Adjusted EBITDA: $9.1 million for the third quarter.
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Adjusted Free Cash Flow: $5.6 million for the third quarter.
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Capital Expenditures: $3.5 million for the third quarter.
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Debt Reduction: Paid down $5.6 million in debt during the third quarter.
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Cash Position Increase: Increased by $3.2 million during the third quarter.
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Share Buybacks: $550,000 of common shares bought back at an average of $2.09 per share during the third quarter.
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Eastern Hemisphere Revenue Growth: 41% year-over-year growth, contributing 15% of total revenue in the third quarter.
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9-Month Revenue: $121.1 million.
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9-Month Adjusted EBITDA: $29.2 million.
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9-Month Capital Expenditures: $16.1 million.
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9-Month Adjusted Free Cash Flow: $13.1 million.
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2025 Revenue Guidance: Expected to be in the range of $145 million to $165 million.
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2025 Adjusted EBITDA Guidance: Expected to be within the range of $32 million to $42 million.
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2025 Capital Expenditures Guidance: Expected to be between $18 million and $23 million.
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2025 Adjusted Free Cash Flow Guidance: Expected to range between $14 million to $19 million.
Release Date: November 07, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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Drilling Tools International Corp (NASDAQ:DTI) reported better-than-anticipated third-quarter results, driven by proactive customer communications and flexible pricing strategies.
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The company successfully reduced debt by $5.6 million, increased cash reserves by $3.2 million, and executed $550,000 in share buybacks.
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DTI’s Eastern Hemisphere operations saw a 41% revenue growth year-over-year, contributing 15% of total revenue, highlighting successful integration of recent acquisitions.
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The company maintained its 2025 full-year guidance, expecting revenue between $145 million to $165 million and adjusted EBITDA between $32 million to $42 million.
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DTI’s strategic relocation of its US drill and repair facility to Houston, Texas, is delivering expected cost savings and efficiency benefits ahead of schedule.
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DTI reported a net loss attributable to common stockholders of $903,000 for the third quarter, equating to a loss of $0.03 per share.
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The company continues to face volatility in oil and gas markets due to geopolitical uncertainties, impacting commodity prices and rig counts.
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Despite positive results, DTI anticipates ongoing disruptions from pricing pressure and utilization fluctuations.
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The company had to implement a cost-cutting program to reduce expenses by $4 million, down from an initially planned $6 million, to align with customer activity levels.
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DTI’s net debt remains significant at $46.9 million as of September 30, 2025, despite efforts to reduce it.